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Community Development Block Grant FY15 Annual Action Plan Copyright 2014 City of Dubuque Consent Items # 10. ITEM TITLE: Community Development Block Grant FY15 Annual Action Plan- Amendment 2 SUMMARY: City Manager recommending approval of the Community Development Block Grant Fiscal Year 2015 Annual Action Plan-Amendment 2. RESOLUTION Approving Fiscal Year 2015 (Program Year 2014) Annual Action Plan Amendment 2 for Community Development Block Grant (CDBG) Funds SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s) ATTACHMENTS: Description Type ❑ CDBG FY15 Annual Action Plan Amendment 2-MVM Memo City Manager Memo ❑ Staff Memo Staff Memo ❑ Resolution Resolutions ❑ Amendment 2 Supporting Documentation THE CITY OF Dubuque UBE I erica .i Masterpiece on the Mississippi 2007-2012-2013 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Community Development Block Grant FY15 Amendment 2 DATE: March 27, 2015 Housing and Community Development Director Alvin Nash recommends City Council approval of the Community Development Block Grant Fiscal Year 2015 Annual Action Plan-Amendment 2. This amendment is a non-substantial amendment that transfers funds between existing housing activities, transferring $28,216 from the Homeowner Rehabilitation Program to the First Time Homebuyer Program. I concur with the recommendation and respectfully request Mayor and City Council approval. Micliael C. Van Milligen MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Alvin Nash, Housing & Community Development Department Director THE CITY OF Dubuque AII4medca City DUB3aE Masterpiece on the Mississippi 2007.2012.2013 TO: Michael Van Milligen, City Manager FROM: Alvin Nash, Housing & Community Development Director DATE: March 27, 2015 RE: Community Development Block Grant FY15 Amendment 2 INTRODUCTION The purpose of this memorandum is to request the City Council's approval of the attached resolution approving FY 2015 Annual Action Plan- Amendment 2 for the Community Development Block Grant (CDBG) program. This amendment is a non- substantial amendment that transfers funds between existing housing activities. DISCUSSION The City of Dubuque received $954,448 in CDBG (CDBG) funds from the U.S. Department of Housing & Urban Development in 2014. The First Time Homebuyer Program is currently out of funding. Amendment 2 proposes the following changes: - Decrease Homeowner Rehabilitation Program by $28,216 ($400,194) - Increase First Time Homebuyer by $281216 ($95,000) The Homeowner Rehabilitation program is currently allocated $428,410 for the rehabilitation of 11 housing units occupied by low and moderate income households. To date, $135,172 has been used for rehabilitation projects. The reallocation of funds to First Time Homebuyer will allow for financial assistance for six first time homebuyers and the rehabilitation program will still have sufficient funding to assist 11 households. Therefore, the reallocation of additional funds to the First Time Homebuyer Program and ensure the funds are spent in a timely manner. The proposed amendment is considered a non-substantial amendment as per the Citizens Participation Plan and can be adopted by resolution of the City Council after the review and recommendation of the Community Development Advisory Commission. COMMISSION ACTION The Community Development Advisory Commission reviewed and unanimously recommended Amendment 2 during the regularly scheduled March 18, 2015 meeting. There were no public comments received during the meeting. ACTION STEP The action requested of the City Council is to approve the Mayor's execution of the attached resolution, approving a FY 2015 Annual Action Plan-Amendment 2 . Prepared by Erica Haugen, Community Development Specialist F:IUSERSICDBGICDBGWnnual PlamFY 151AmendmentslAmendment 1 Memo to Coundistf RESOLUTION NO. 95-15 RESOLUTION APPROVING FISCAL YEAR 2015 (PROGRAM YEAR 2014) ANNUAL ACTION PLAN AMENDMENT 2 FOR COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS Whereas, the City of Dubuque prepared and filed an Annual Action Plan for Fiscal Years 2015; and Whereas, the City of Dubuque now desires to amend said Annual Plan by reallocating funds between existing activities; and Whereas, said amendment is a non -substantial amendment as provided in the City's Citizen Participation Plan and therefore must be approved by resolution of the City Council after recommendation by the Community Development Advisory Commission; and Whereas, the Community Development Advisory Commission reviewed said amendment on March 18, 2015 and voted to approve said amendment and recommend approval by the City Council. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the Annual Action Plan for Fiscal Year 2015 is here by amended into a Fiscal Year 2015 (Program Year 2014) Annual Action Plan — Amendment 2, attached hereto as Exhibit A. Section 2. That said Fiscal Year 2015 (Program Year 2014) Annual Action Plan Amendment 2 attached hereto as Exhibit A is hereby approved. Section 4. That the City Manager is hereby authorized and directed to submit a copy of this resolution and amendment to the U.S. Department of Housing and Urban Development. Passed, approved and adopted this 6th day of March, 2015 Attest: Trish L. Gleason, Assistant City Clerk oy D. Buol, Mayor THE CITY OF Dubuque AII4medc11 a City DUB E r Masterpiece on the Mississippi 2007.2012.2013 FY 2015 ANNUAL PLAN FOR USE OF PROGRAM YEAR 2014 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS Exhibit A PREPARED BY THE HOUSING AND COMMUNITY DEVELOPMENT DEPARTMENT I CITY OF DUBUQUE, IOWA FY 2015 ANNUAL ACTION PLAN Amendment 2 FOR THE USE OF PROGRAM YEAR 2014 COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS The City of Dubuque distinguishes between four different but complementary areas of program development in its overall CDBG program: Housing Development, Economic Development, Neighborhood and Community Development and Planning & Administration. The following description of activities summarizes the projects to be completed in the FY 2015 Annual Action Plan with the use of CDBG funds as amended: HOUSING DEVELOPMENT PROGRAMS First Time Home Buyer Program $95,000 This program provides for loans to assist low and moderate income families to purchase their first homes. These funds are used to cover the "entry costs" of homeownership—down payments and closing costs. National Objective: Low and Moderate Income Housing Location: Citywide Proposed Accomplishments: 8 Households Priority: High Objective/Outcome: Decent Housing/Affordability(DH2) Homeowner Rehabilitation $400,194 1)Residential Rehabilitation Loan Program (11 Housing Units) An on-going program to provide low-interest loans to qualified low and moderate-income homeowners for the rehabilitation of substandard housing units. 2)Home Repair Program Zero%loans or deferred payment loan to improve conditions of property for income-eligible homeowners 3)Historic Preservation $7,059 Provides loan to improve conditions of historic property for income-eligible homeowners National Objective: Low and Moderate Income Housing Location: Citywide Proposed Accomplishments: See above Priority: High Objective/Outcome: Decent Housing/Affordability(DH2) Housing Code Enforcement $190,690 Intensive inspection program of rental units within low and moderate-income neighborhoods to ensure safe and sanitary housing. National Objective: Low and Moderate Income Benefit Location: Low/Moderate Income Areas Proposed Accomplishments: 400 Housing units Priority: High Objective/Outcome: Decent Housing/Affordability(DH2) Housing Rehabilitation Services and Staff $364,982 2 On-going staff support, including program management,technical assistance, loan packaging and inspection,for the City's rehabilitation loan program. Priority: High Objective/Outcome: Decent Housing/Accessibility(DHI) Lead Hazard Control Program $50,816 Provides activities to support efforts to combat lead paint hazards in housing, including assessment and abatement with forgivable loans of up to$12,000 to low/moderate income residents. National Objective: Low and Moderate Income Housing Location: Low/Moderate Income Areas Proposed Accomplishments: 3 Housing units Priority: High Objective/Outcome: Decent Housing/Accessibility(DHI) Rental Unit Repair $53,615 1) Emergency Code Enforcement Loan Program This program provides for loans to correct code deficiencies and, in particular, emergency or health and safety corrections, for rental properties. The program aims at preventing the displacement of economically disadvantaged tenants as a result of code enforcement actions. 3) Accessibility Rehab This program provides forgivable loans to disabled tenants to make rental units accessible to the physically disabled. National Objective: Low and Moderate Income Housing Location: Citywide Proposed Accomplishments: 10 Housing units Priority: High Objective/Outcome: Decent Housing/Affordability(DH2) Total Housing Programs $1,162,356 3 ECONOMIC DEVELOPMENT PROGRAM Commercial/Industrial Building Rehab Loan Program and Revolving Loan $0 This program provides low interest and forgivable loans/grants for rehabilitation of commercial and industrial buildings in the City's older neighborhoods and downtown. Rehabilitation assistance is limited to improvements to the exterior of the building and to the correction of code violations. On-going revolving loan fund established. National Objective: Removal of Slum and Blight Location: Slum and Blight Area Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) Economic Development Financial Assistance Program and Revolving Loan Brazen Open Kitchen $175,000 Microenterprise Assistance Program $10,806 This program provides both large and small businesses with attractive low-interest and forgivable loan packages or grants to support local economic development efforts, including projects to create or retain jobs, enhance the tax base and strengthen the local economy. To the greatest extent possible,these investment capital funds are used to benefit low and moderate income citizens, address slum and blight problems, leverage additional funding from state, federal and private sources and to assist in the retention and expansion of existing local businesses. On-going revolving loan fund established. National Objective: Low and Moderate Income Jobs Location: Citywide Priority: High Objective/Outcome: Economic Opportunity/Sustainability(E03) Total Economic Development Programs $185,806 NEIGHBORHOOD and COMMUNITY DEVELOPMENT PROGRAMS Accessible Curb Ramps $50,552 Replace curbs at intersections throughout the City with accessible ramps to make public sidewalks accessible to persons with disabilities. National Objective: Low and Moderate Income Benefit Location: Citywide Proposed Accomplishments: 4 Accessible ramps Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) Dubuque Dispute Resolution Center $0 Training of volunteers,marketing and promotion for the Dubuque Dispute Resolution Center,which offers mediation of disputes between neighbors, including race-related disputes National Objective: Low and Moderate Income Benefit Location: City Wide Proposed Accomplishments: 17 People Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SL1) 4 Information&Referral Services $10,000 (*Estimate only pending Council approval of purchase of services grant applications) The purchase of services from Project Concern for a twenty-four hour information network for community residents and a resource/counseling center for community services. National Objective: Low and Moderate Income Benefit Location: Citywide Proposed Accomplishments: 3000 People Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SL I) Neighborhood Infrastructure Improvements $46,214 National Objective: Low and Moderate Income Benefit Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) 1)Neighborhood Street Overlays Provides for pavement overlays in income eligible neighborhoods. Location: Low/Moderate Income Areas Proposed Accomplishments: 3 streets 2)Neighborhood Sidewalk Program Grant program to income eligible homeowners, on a case-by-case basis,to pay a maximum of 75% of the cost to repair public sidewalks in front of their home. Grant amount varies based on percentage of area median income. Location: City Wide Proposed Accomplishments: 7 sidewalks 3)Neighborhood Step/Wall Repair An on-going program to renovate or remove steps and walls that are public safety problems In low-income areas. Location: Low/Moderate Income Areas Neighborhood Recreation Programs $110,789 An enhanced recreation program is offered in the City's older low and moderate-income neighborhoods to meet the needs of at-risk youth promote self-esteem and build community. Activities include expanded after-school programs, open gym,basketball league,music lessons,playtime for tots, scholarships, swim passes, summer day camp and other recreational programs. National Objective: Low and Moderate Income Benefit Location: Low/Moderate Income Areas or City wide Proposed Accomplishments: 5730 persons Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SL I) Neighborhood Support Grants $26,315 This grant program provides resources for organized neighborhoods in low/mod income areas to encourage self-initiated revitalization efforts including physical improvements, clean-ups, communication efforts or other special projects. National Objective: Low and Moderate Income Benefit Location: Low/Moderate Income Areas Proposed Accomplishments: 2000 People Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) Opening Doors $19,054 Program providing emergency and transitional housing to women, alone or with children at two sites, Teresa Shelter and Maria House. National Objective: Low and Moderate Income Benefit Location: Citywide Proposed Accomplishments: 225People Priority: High 5 Objective/Outcome: Decent Housing/Accessibility(DHI) Senior Center $24,216 Education and recreation services provided to elderly citizens at the Hills&Dales Lifetime Center. National Objective: Low and Moderate Income Benefit Location: Citywide Proposed Accomplishments: 600 People Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SL1) Washington Tool Library $12,441 An on-going free tool loan program operated by the Washington Neighborhood Tool Library, A non-profit organization staffed by volunteers. Funds are used to buy and repair tools and operating costs. Income eligible residents borrow tools at no charge for home repairs and improvements National Objective: Low and Moderate Income Benefit Location: City Wide Proposed Accomplishments: 450 People Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SL1) Zoning Inspection/Enforcement $8,710 This project provides funding for inspection/enforcement staff services to low/mod income areas for zoning ordinance infractions and to provide support for neighborhood clean up efforts. National Objective: Low and Moderate Income Benefit Location: Low/Moderate Income Areas Proposed Accomplishments: 45 Housing Units Objective/Outcome: Decent Housing/Sustainability (DH3) Total Neighborhood and Community Development Programs $384,549 PLANNING AND ADMINISTRATION Housing Planning/Administration Services and Staff $71,549 On-going staff support for general housing planning activities, including Consolidated Plan, and department administration. Priority: High Objective/Outcome: Decent Housing/Accessibility(DHI) Neighborhood Development Services&Staff $59,052 The Neighborhood Development Specialist coordinates the City's neighborhood Development programs and provides technical assistance to organizations and residents to improve Dubuque's neighborhoods. Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SL1) CDBG Administration Services and Staff $121,281 Staff support for general management Oversight and coordination of the Community Development Block Grant program;assures compliance with federal regulations and reporting requirements. Includes$30,000 for consultant for Consolidated Plan and Analysis of Impediments. Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) Total Planning and Administration $251,882 6 FY 2015 CDBG ANNUAL ACTION PLAN Amendment 2 AAP AMD 1 AMD 2 SOURCES FY 2015 FY 2015 FY 2015 Entitlement 954,448 954,448 954,448 Program Income 304,960 304,960 304,960 Subtotal 1,259,408 1,259,408 1,259,408 Prior Year CDBG Balance 725,184.82 725,184.82 Payroll Liability Subtotal 725,185 725,185 Available CDBG Funds 1,259,408 1,984,593 1,984,593 FY 2015 Annual Action FY15 FY15 Proposed Housing Development Programs Plan Amendment Ameadmerl Difference Pmposed Acomplishments First Time Homebuyer Program 41 784 66784 95,000 28,216 19 households Historic Preservation Rehab Gnarl 7,059 7,059 0 Homeowner Rehab Program 157,450 428,410 400,194 (28,216 11 housing units Housing Code Enforcement 188,424 190,690 190,690 0 400 housing units Housing Rehabilitation Services and Staf 356727 364982 364982 0 Lead Hazard Control Program 50,816 50,816 50,816 0 3 housing units Purchase/Rehab/Resale DREAMS - 0 0 0 Rental Unit Rehabilitation 53,615 53,615 0 10 housing units Housing Totals 795,201 1,162,356 1,162,356 0 Economic Development Programs o E.D.Financial Assistance Program - 0 0 Harvest Kitchen - 175,000 175,000 0 18 low/mod jobs created Microenterprise Assistance Program 10,806 10,806 0 Economic Development Totals - 185,806 185,806 - Neighborhood and Community Development Programs o Accessible Curb Ramps 12,600 50552 50552 0 12 Accessible Ramps Dubuque Dispute Resolution Center 728 0 0 Carded Activity Information&Referral- Project Concern 10,000 10,000 10,000 0 3000 people Multi-Cultural Family Center 76259 76259 0 accessability/LMA Neighborhood Infrastructure Improvements 13,400 46214 46214 0 3 streets,7 sidewalks Neighborhood Recreation Program 109,838 110789 110789 0 5730 persons Neighborhood Support Grants 14560 26315 26315 0 7000 people Opening Doors 13,005 19,054 19,054 0 225 people Senior Center 18200 24216 24216 0 600 people Washington Tool Library 11 284 12,441 12,441 0 450 people Zoning Inspection/Enforcemeni 8710 8710 8710 045 housing units Neighborhood&Comm.Develop.Totals 212,3251 384,549 384,549 0 Administration o Housing Administration 70,416 71549 71549 0 Neighborhood Development Services and Staff. 60,185 59,052 59,052 0 CDBGAdmin.Services and Staff 121281 121281 121281 0 Administration Totals 251,882 251,882 251,882 0 TOTAL CDBG 1,259,408 1,984,593 1,984,593 0 7